Page:United States Statutes at Large Volume 48 Part 1.djvu/1279

 73d C ONGRESS. SESS. II. CH. 847. JUNE 27, 1934. 1253 ject to rules and regulations to be prescribed by the Administrator, (1) to purchase and sell first mortgages and such other first liens as Tr ansac tion s in firs t are commonly g iven to secur e advances on real estate h eld in fee mortgages . simple or under a lease for not less than ninety-nine years, under the laws of the State in which the real estate is located, together with the credit instruments, if any, secured thereby, such mortgages not to exceed 80 per centum of the appraised value of the property as of the date the mortgage is purchased ; and (2) to borrow money for Borrow money. such purposes through the issuance of notes, bonds, debentures, or other such obligations as hereinafter provided. (b) Any number of natural persons, not less than five, may apply Ap plication for to the Administrator for authority to establish a national mortgage anteo ruy to estab lish. association, and at the time of such application shall transmit to the Administrator articles of association, signed and sealed by each of Articles ofassociation the incorporators and acknowledged before a judge of any court of to accompany. record or a notary public, which shall contain (1) the name of the Contents. associa tion, ( 2) the place where i ts prin cipal office or plac e of b usi- ness is to be located, and (3) such information with respect to its capital stock as the Administrator may by regulation require. If the i ssue of ce rtif icate of Admi nist rato r is of the opin ion that the inc orpo rato rs t rans mitt ing approvall the articles of association are responsible perso ns and that such articles of association are satisfactory in all respects, he shall issue or cause to be issued to such incorporators a certificate of approval, and the association shall become. a s of the date of issuance of such certificate, a body corporate by the name set forth in its articles of associa tion. (c) Each national mortgage association created under this section Power s of associat ion. shall have succession from the date of its organization unless it is dissolved by act of its shareholders, or its franchise becomes forfeited by order of the Administrator as hereinafter provided, or it is dis- solved by Act of Congress, and shall have power- (1) To adopt and use a corporate seal. (2) To make contracts. (3) To sue and be sued, complain and defend, in any court of law or equity, State or Federal. (4) To conduct its business in any State of the United States or in the District of Columbia and to have one or more offices in such State or in the District of Columbia, one of which offices shall be designated at the time of organization as its principal office. (5) To do all things as are necessary or incidental to the proper management of its affairs and the proper conduct of its business. (d) No association shall transact any business except such as is Limitation on trans- incidental to its organization until it has been authorized to do so action of b usiness. by the Administrator. Each such association shall have a capital men pitalstock r equire. re qui re. stock of a par value of not less than $5,000,000, and no authorization to commence business shall be granted by the Administrator to any such association until he is satisfied that such capital stock has been subscribed for at not less than par and paid in full in cash or Government securities. (e) Each natio nal mortgage association, for the purpos e of all A ction sbyo raga inst actions by or against it, real, personal, or mixed, and all suits in association. equity, shall be deemed a citizen of the State in which its principal offic e is loca ted. (f) No individual, association, partnership, or corporation, except Exclusive use of term, "National Mort. associations organized under this section, shall hereafter use the gage Association ." words " national mortgage association ", or any combination of such words, as the name or a part thereof under which he or it shall do busi nes s, Every individual, partnership, association, or corporation